16 vessels, 12 billion! Chinese shipyards become the biggest winners in the container ship order boom

Driven by rising freight rates and growing demand for environmentally friendly vessels, the container ship market is experiencing another surge in orders. Chinese shipyards, leveraging their superior manufacturing capabilities and technological advantages, have secured all container ship orders so far this year, making them the undisputed biggest winners in this latest order boom.

6 Vessels, 2.5 Billion Yuan! Huangpu Wenchong Secures First Methanol Dual-Fuel Container Ship Order from Evergreen Marine

On June 7, Evergreen Marine announced that its subsidiary, Italia Marittima S.p.A., had ordered six 2400TEU methanol dual-fuel container ships from Huangpu Wenchong. Delivery of the new vessels is expected to begin in the second half of 2026. Each vessel is priced at US$52-58 million, with a total transaction value of US$312-348 million (approximately RMB 2.261-2.522 billion).

For reference, Clarksons' data shows that the price of a new 2600/2900TEU feeder container ship is currently US$41.25 million, a 3% decrease compared to US$42.5 million in the same period last year.

Ordering new methanol dual-fuel vessels aligns with Evergreen Marine's long-term strategy for energy-efficient ships. Evergreen Marine stated that the choice of methanol as an alternative fuel for newbuilds is primarily due to the carbon reduction benefits of e-methanol production. Its use in ships effectively reduces carbon dioxide emissions, meeting the environmental requirements of the International Maritime Organization and the European Union for the shipping industry and helping the company achieve its carbon reduction goals.

The EU ETS (European Union Emissions Trading System) primarily impacts shipping companies by increasing operating costs due to the need to purchase carbon emission allowances. Carbon emissions can be reduced, and thus the purchase of carbon allowances minimized, by investing in greener vessels, improving operational efficiency, and using low-carbon alternative fuels.

Evergreen Marine's practical actions in response to carbon reduction include investing in new environmentally friendly ship types (methanol dual-fuel vessels), improving the energy efficiency of ship operations, and introducing more energy-saving and emission-reduction technologies, such as carbon capture equipment.

With the latest order finalized, Evergreen Marine has become the second major container shipping company this year to place a ship order, following ONE (Ocean Network Express). In addition to ordering new ships, Evergreen Marine recently announced orders for 50,000 containers, including 10,000 containers from Singamas (US$32.153 million), 14,500 containers from CIMC (US$41.95 million), and 25,500 containers from Orient International Container (US$88.613 million).

Evergreen Marine is currently the world's seventh-largest container shipping company. Alphaliner's latest data shows that Evergreen Marine's current fleet comprises 220 vessels with a capacity of 1.68 million TEU, including 135 owned vessels and 85 chartered vessels, representing a market share of 5.7%. Meanwhile, Evergreen Marine also has 67 new vessels under construction totaling 730,000 TEU, accounting for 43.4% of its existing fleet capacity—the highest proportion among all container shipping companies. Once all new vessels are delivered and operational, its fleet capacity will surpass ONE, ranking it sixth globally.

It is understood that earlier this year, Evergreen Marine announced plans to order a batch of 2400TEU methanol dual-fuel vessels. This is the second time Evergreen Marine has ordered methanol dual-fuel vessels, following an order for a total of 24 16000TEU methanol dual-fuel container ships from Samsung Heavy Industries and Imabari Shipbuilding in South Korea last year.

Huangpu Wenchong is one of Evergreen Marine's most favored shipyards in China. According to International Ship Network, Evergreen Marine placed its first order with Huangpu Wenchong in 2021, ordering 24 feeder container ships of three types, with a total value of approximately US$1 billion. At the time, this was the largest civil order in Huangpu Wenchong's history and the largest single order for feeder container ships ever received by China Shipbuilding Group.

Clarksons' data shows that excluding the latest order, Huangpu Wenchong currently has a backlog of 96 vessels totaling 3.79 million deadweight tons, including 48 container ships, 20 bulk carriers, 13 multipurpose vessels, 7 tugboats, 5 LPG carriers, and 3 other vessels, with delivery dates extending to 2028.

10 Vessels, 9.3 Billion Yuan! New Times Shipbuilding Secures First Dual-Fuel Container Ship Order from Capital Maritime

According to foreign media reports, Evangelos Marinakis, through his subsidiary Capital Maritime, has signed a letter of intent with New Times Shipbuilding for the construction of 10 8400TEU dual-fuel LNG-powered container ships. Each new vessel will cost approximately US$128 million, with a total transaction value of approximately US$1.28 billion (approximately RMB 9.272 billion). Delivery is expected between mid-2027 and 2028.

For reference, according to Clarksons' data, the price of a new LNG dual-fuel 7500-8500TEU container ship is currently US$121 million, a 3% increase compared to US$117 million in mid-last year.

If this order is confirmed, it will be Marinakis' first container ship order in the past two years and his first order for LNG dual-fuel container ships. Industry insiders believe that Marinakis' new order is a speculative order, and there is currently no news about the finalization of the charter contract.

It is understood that Evangelos Marinakis is one of the major Greek shipowners active in the newbuilding market in recent years. His subsidiary, Capital Maritime, launched a "green revolution" fleet transformation plan six years ago and is estimated to have ordered approximately 80 new vessels with a total value of nearly US$9.5 billion, with delivery dates extending from 2020 to 2028. However, unlike most Greek shipowners who prefer to order ships from Chinese shipyards, Marinakis' orders are mainly placed with South Korean shipbuilders.

According to Clarksons' data, of the 45 new vessels ordered by Marinakis since 2022, as many as 27 were built at shipyards under the HD Hyundai Group in South Korea, including 10 174,000-cubic-meter LNG carriers, 4 22,000-cubic-meter LCO2 carriers, 4 45,000-cubic-meter medium-sized LPG carriers, 2 88,000-cubic-meter VLACs, and 7 feeder container ships; the remaining 18 were built by Chinese shipyards.

It is worth mentioning that New Times Shipbuilding is Marinakis' most favored shipyard in China. Their cooperation began with an order for LR2 tankers in 2022. To date, Marinakis has ordered a total of 10 tankers from New Times Shipbuilding, including 4 LR2 product tankers and 6 Suezmax crude oil tankers. However, Marinakis has never ordered container ships from New Times Shipbuilding before.

For New Times Shipbuilding, Marinakis' new order will also be its first container ship order since 2023. New Times Shipbuilding received dozens of new orders during the record-breaking container ship order boom in 2021-2022, but as the boom in the new container ship market began to subside in 2023, New Times Shipbuilding's order focus shifted back to tankers.

Excluding Marinakis's latest order, according to Clarksons' data, New Times Shipbuilding currently has 101 vessels with 13.93 million DWT on hand, including 75 tankers, 23 container ships, and 3 bulk carriers. Among these, 50 are LNG-powered vessels, namely 3 bulk carriers, 27 tankers, and 20 container ships, with delivery dates extending to 2028.

It is understood that New Times Shipbuilding is a "leader" in the construction of LNG dual-fuel vessels. In recent years, New Times Shipbuilding has proactively responded to the "dual carbon" development strategy, taking the lead in the field of new energy vessels, actively developing the production and research of LNG dual-fuel vessels and LNG fuel tanks, while increasing the informatization, digitalization, and intelligent manufacturing of ships. Through continuous improvement of production processes, it has continuously improved production efficiency and capacity, becoming the first local private shipyard in China to build large LNG dual-fuel vessels, with the highest number of LNG dual-fuel vessel orders in the country.

Another 300,000 TEU Ordered! Container Ship Order Boom Returns, Shipowners Keen on Dual-Fuel Vessels

Since May this year, the once-cooled new container ship market has begun to gradually recover. As container shipping freight rates continue to rise, approaching the levels during the COVID-19 pandemic, shipping companies have begun to return to the newbuilding market seeking more new vessels.

Earlier reports indicated that Seaspan Corporation, the world's largest independent container ship owner, returned after nearly three years since the summer of 2021, placing orders for as many as 10 dual-fuel container ships at two Chinese shipyards, including 6 LNG dual-fuel 13,000 TEU vessels at Hudong-Zhonghua and 4 methanol dual-fuel 9,000 TEU vessels at Yangzijiang Shipbuilding. The price of LNG dual-fuel vessels is over US$180 million per vessel, while the unit price of methanol dual-fuel vessels is around US$125 million. Based on this calculation, the total value of all 10 new vessel orders reached US$1.58 billion (approximately RMB 11.447 billion).

Seaspan has already secured long-term charter contracts for all 10 vessels. The LNG dual-fuel vessels will be leased by ONE (Ocean Network Express) and will be delivered between early 2027 and 2028; the methanol dual-fuel vessels will be leased by Maersk and are scheduled for delivery between the second half of 2027 and 2028.

Meanwhile, Waigaoqiao Shipbuilding has recently received orders for a total of 8 container ships from two shipping companies, including 4 methanol-ready 11,000 TEU container ships ordered by Singapore's X-PRESS FEEDERS; and 2 methanol-ready 14,000 TEU large container ships and 2 7,000 TEU medium-sized container ships ordered by Dexing Shipping.

In addition to the new orders from New Times Shipbuilding and Huangpu Wenchong, MB Shipbrokers (formerly Maersk Broker) said that these new contracts will increase the backlog of container ship orders by another 300,000 TEU.

According to Clarksons' data, as of June this year, the backlog of container ship orders totaled 683 vessels, approximately 5.81 million TEU. This is the first time since January 2022 that the backlog has fallen below 6 million TEU. However, if another 300,000 TEU is added, the backlog will once again exceed 6 million TEU.

MB Shipbrokers pointed out that a large number of new container ship projects are under preparation, and several major container shipping companies and ship owners are conducting specific negotiations on various series of 8,000-15,000 TEU container ship newbuildings. "If things progress as we expect, we anticipate that the available delivery berths for large vessels will soon be pushed back to the second half of 2028."

MB Shipbrokers also revealed last month that COSCO SHIPPING Group will order 10 dual-fuel 11,000 TEU container ships from Waigaoqiao Shipbuilding. This order is in the final stages of confirmation. COSCO SHIPPING Group will also order up to 12 14,000 TEU container ships from its subsidiary Yangzhou COSCO SHIPPING Heavy Industry.

It is worth mentioning that all container ship orders worldwide so far this year have been taken by Chinese shipbuilders, and a wave of pending orders are also being undertaken by Chinese shipbuilders. Since Evergreen Marine's large order of 24 16,000 TEU methanol dual-fuel container ships from Imabari Shipbuilding in Japan and Samsung Heavy Industries in South Korea in July last year, Japanese and South Korean shipyards have not received any container ship orders.

Meanwhile, although new container ship orders have declined this year, the fuel transition process in this sector is accelerating. In February this year, the world's first ammonia-fueled container ship order was signed. Yara International, together with CMB.TECH and North Sea Container Line (NCL), jointly ordered a 1400 TEU ice-class ammonia-fueled container ship, "Yara Eyde", from Qingdao Yangfan.

Dual-fuel propulsion is particularly common in the field of ultra-large container ships. Clarksons' data shows that among the current total of 197 12,000-16,999 TEU new Panamax container ship orders, as many as 123 are methanol dual-fuel or LNG dual-fuel powered; while among the existing 42 17,000 TEU and above container ship orders, only 4 are traditional fuel powered, and the remaining 38 are all methanol dual-fuel or LNG dual-fuel powered.